Fort Worth weekly gazette. [volume] (Fort Worth, Tex.) 1882-1891, 1887-01-21
MILLIONS IN COTTON SEED.


A Great Monopoly Gathering ia a Product
Southern Farmers Once Threw Away.
The Southern man never gets rich, says
an Atlanta correspondent OF the New York
Sun, unless he stumps his toe on for
tune. Somehow or other improvidence
WAS inteTWrougnt with the fabric of slav-
cry.
For nearly century the Southern
farmers destroyed their cotton seed.
One of the farm problems was how to get
rid of it. On the coast it was dumped into
the ocean. a few years ego some
body discovered that cottOn-seed was the
one perfect fertilizer for the cotton lands;
tat the seed held the essential elements
that the cotton crop took from the soil.
Then everybody was ashamed of having
destroyed the seed for so many genera
tons. Slowly but surely every ton was
utilized as fertilizer. Later somebody
discovered that it was an excellent food
for stock. Then the farmers began feed
ing with il.
Along IN 10 an objection was found to
cotton seed as fertilizer and for stock
food. 1t was too rich. The excess of
oil in the seed prevented quick decompo-
sltiOn in the soil, and made the wool of
sheep too kinky. At the same time some
body discovered that the Objectionable
oil would sell well in market, so the first
cotton seed oil mill was established.
The industry was immensely profitable,
and and in less than five years $50 oil
mills sprang up in the South.
A ton of cotton seeds Yields forty gal
Ions OF oil, worth in its crude state $40.
The hulls Of the seed are used as fuel to
run the furnace, and the ashes tht reOf
sold for potash, and cotton seed mea-
stripped of its oil is more valuable to the
farmer as fertilizer and stock fOHd than
it was when it held the oil. This season
$1,000 tons of cotton seed have gone
through the mills, from which So
100000 worth CT crude oil has
been taken. The meal cake returned to
the soil without the oil has lost nothing,
while the South has gained S5,00O,000.
The crude oil, however, is refined, which
quadrurles its value. 1t is sold mostly
or ex port, and returns to America as
olive oil. The mills pay the farmer
about $40 q ton for cotton seed, three
tons OF which will make one of cotton
meal, which they sell back to the farmer
Jor SIS forfertilizing or feeding purposes.
Now, see the progress. Twenty years
ago cotton seed was burned or destroyed
on Southern farms. Then it began to be
used as fertilizer or stock food. List
year 100000 worth of crude oil was
taken out of 500, 600 tons of cotton seed
without injurin. its value for other pur-
poses, which oil was refined up to value
of perhaps $50, 900. O00
This enormous industry, which as yet
treats but 100000 tons out of 100000
tons of the full crop of cotton seed, has
lately attracted the attention of Northern
capitalists, it is said, especially the
Standard Oil company, and remarkable
company has been formed. Last sea-
son produced acid seed, very unfayora2le
for oil purposes. The mills, which had
been making immense profits, lost money.
Several OF them applied to New York for
money. Others were offered for sale.
The American Cotton Oil Trust was or
ganized. A score Of mills were pooled,
aud agents CT the company went to buy
ing up until ont of the $50 oil mills in the
country, the company OWES about 126
These mills represent a cash value of
So 900 900. The stock Of the
company is So, 900, 900. 1t is listed in
the New York stock exchange, and is
now selling at about 60, SO that
the 100000 worth OF mill properly
now has selling value Of S2l 900 900.
Eff lrts are beng made to buy or break
the few mills yet independent. The plan
is TO send agents of the company into the
territory of an independent mill and bid
up cotton seed TO sn Improbable point.
hl ri hot 1rhA huc
will, within year, be in the hands of the
Oil Trust company, which will then be
come monopoly IS absolute IS the
Standard Oil company.
The possible expansion of this business
IS startling. Less than one sixth of the
annual supply of cotton seed is now being
treated, and yet the crude oil alone Yields
S5,000,000, and the cotton meal S3,OOO,-
900 and more. The oil, when refined will
yield $50, 100000 Multiply these figures
by six, and you see what the present in
come of this company will be.
The monopoly once estab-
lished, the company can make
the price has been reduced about So ton.
BY shutting up the small mills and con-
centrating machinery aud management in
VIC OuCS IuS plOISSS Gu Ut CHEAP
eued. The demand for oil is limitless.
The export trade alone would take the
produce of the entire cotton seed crop.
The demanc for cotton meal in
England alone would exhaust the pres
ent annual supply, but the farmers
are obstinate about letting il go from
their land, and bug it readily for SIS q
ton, which is Sl2 less than they receive
for the three tons of seed necessary to
make ii, and out of which $50 worth Of
crude oil has been taken. Without count |
ing the sale of potash, the mills now ge: |
without refining the oil S46 for three tons |
Of seed, for which they pay S24.
A short time ago the company paid ST.
000,0 for an invention of Western |
CHAP for stripping the lint from the seed |
oy using sulphuric acid bath. The pur-
pose was to make export of the seed in |
bulk, the lint left On the seed by the gin |
making it sweat and spoil in the ships |
hold. The sulphuric acid burns into |
the black of the seed which holds the oil. |
After being tried the project was absu-
doned, but the Western chap still holds
his $1,000, 900 worth of stock. The GIN
makers have improved their machinery
until ha caad to IaprdaJ of LIT